Small businesses in Washington are proving to be a massive economic force, with a new study identifying the top sectors driving growth across the state. According to research by sales CRM Ringy, Washington now ranks 18th in the nation for its sheer number of small businesses, boasting nearly 700,000 registered firms.
The study, which analyzed data from the U.S. Small Business Administration, found that most of these businesses are operated by sole proprietors and freelancers. These independent workers and small teams are finding the most success in specialized, high-skill industries that support the state’s larger economy.
Top sectors for local entrepreneurs
The most popular sector for entrepreneurs in Washington is Professional, Scientific, and Technical Services. With more than 113,000 firms, this category includes a wide range of experts such as lawyers, IT consultants, architects, and marketing specialists.
Since many of these businesses can operate with low overhead—often from home offices or co-working spaces—it has become the go-to choice for Washingtonians looking to start their own ventures.
Following closely behind is the Transportation and Warehousing industry. This sector has seen a significant rise in popularity, driven by the state’s role as a major hub for international trade and e-commerce. Local trucking companies, logistics providers, and storage operations make up a large portion of the 84,000 small firms in this category, helping to move goods from Washington’s busy ports to the rest of the country.
The rest of the top five
The remaining top spots show a diverse mix of local services that keep Washington communities running.
Real Estate and Rental services rank third, as agents and property managers navigate the state’s active housing market. Construction follows in fourth place, representing everything from home builders to specialized trades like plumbers and electricians.
Finally, a category known as “Other Services” rounds out the top five. This includes the essential small businesses that people visit every day, such as hair salons, auto repair shops, and pet groomers.
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